Insights

Do female directors in Taiwanese companies drive growth in corporate governance and the ESG score?

In the previous article, we introduced TESG’s scoring mechanism in detail and its rating ratio among popular ETFs in China. This article will teach readers how to further use the ESG rating provided by TESG, and use Python to construct a concurrent An investment portfolio with sustainable operations and financial growth potential.

  Highlights: Preface Profit-chasing and risk-averse are the innate naturals of all investors. One way to achieve these goals is to predict the future stock movement. In the past, time series models such as ARIMA and GARCH are widely used to characterize the trajectory of future stock prices. Nowadays, As the boom of artificial intelligence, […]

The business opportunities incurred by cybersecurity crises are much larger than you imagine. But before putting your cash in, do you understand the cybersecurity industry chain and its components?

In 2014, the CFA Institute in the US began discussing the incorporation of ESG (Environmental, Social, and Governance) factors into investment decision-making and business valuation. However, the measurement involved in each rating varies greatly, thus confusing users. Given this, TEJ released the “TESG Rating Index (TESG Rating) ” on March 31, 2022, a tool for reference in investment and credit. What’s more, we use the TESG Rating to explore its correlation with commonly-used valuation multiples, such as the price-to-book (P/B) ratio and price-to-earnings (P/E) ratio.

  Highlights Difficulties：★☆☆☆☆ Using the Moving Average and standard deviation to construct a Bollinger Band, determine when to buy and sell. Preface Bollinger Band is a technical indicator that John Bollinger invents in the 1980s. Bollinger Bands consist of the concepts of statistics and moving averages. The moving Average(MA) is the average closing price of […]

Not all companies can utilize ChatGPT for AI-driven transformation, and ignoring information security risks may affect their sustainability.

Principal Component Analysis (PCA) is a key technique in unsupervised learning widely used in machine learning and statistics to analyze data and reduce data dimensionality. Its core idea is to break down the original data into representative principal components, achieving dimensionality reduction and providing a new description of the data.

The alpha obtained from the Fama&French three-factor model is used to construct a long-short strategy and backtest the performance against the market return. Highlights： Difficulty：★★☆☆☆ The Fama&French three-factor model is used to calculate the alpha of Taiwan-listed stocks, and the top 20% of stocks with the highest alpha and the bottom 20% of stocks with […]